If a company has contingent liabilities, they appear in the__________?

✅ A. When a discounted bill is honoured by the drawee on the due date

Option A : When a discounted bill is honoured by the drawee on the due date Option B : When a bill is sent to the bank for collection Option C : When a bill is renewed at the request of the drawee Option D : When a debtor accepts a bill drawn by the drawer Correct Answer : When… Read more

✅ B. P&L A/C is debited with 1,200

Option A : P&L A/C is debited with 1,400 Option B : P&L A/C is debited with 1,200 Option C : 200 is shown as current asset Option D : Both Correct Answer : Both and above Read more

✅ B. Identifying the transaction

Option A : Recording the transaction Option B : Identifying the transaction Option C : Posting the transaction Option D : Preparing the source documents Correct Answer : Identifying the transaction Read more

✅ A. Depreciation

Option A : Depreciation Option B : Physical deterioration of the asset Option C : Decrease in market value of the asset Option D : Valuation of an asset at a point of time Correct Answer : Depreciation Read more

✅ A. 111%

Option A : 111% Option B : 120% Option C : 95% Option D : 117% Correct Answer : 111% Read more

✅ B. Added to bank balance

Option A : Subtracted from bank balance Option B : Added to bank balance Option C : Added to Cash book balance Option D : Subtracted from cash book balance Correct Answer : Added to bank balance Read more

✅ D. All of the above

Option A : The bad debt expense is not matched with the related sales Option B : Revenue is overstated in the year of sales Option C : It violates the matching principle of accounting Option D : All of the above Correct Answer : All of the above Read more

✅ B. Balance Sheet

Option A : Income Statement Option B : Balance Sheet Option C : Cash Flow Statement Option D : Retained Earning Statement Correct Answer : Balance Sheet Read more